Ann: Trading Update to 31 December 2020, page-6

I cannot say I'm impressed with this announcement - deliberate 'smoke and mirrors' to make it difficult to assess the real position.
Why couldn't they give the net debt position at 30 September, instead of 31 August? That's logical and more indicative of the real quarterly position. Sure they have improved by around $2m from the pro forma scenario as announced in August but based upon June 30 figures. Was September a bad month for cash generation? Surely if it was good and showed a further reduction in the net debt position they would have reported it. Given that the announcement was released at 7.30pm on Sep 30, it would not have been too hard to work out the net figure at this date.

Then there is the statement of 1HFY21 EBITDA stated without 'ASB16 Leases' adjustments. This makes it somewhat murky to get to a forecast FY21 NPAT. To simply double the estimate on 1HFY21 and compare it with the EBITDA of $12.4m in FY20 is a bit misleading. The $12.4m is after the AASB16 adjustments. Give that T4U has PPE of $8.46m and Right of use assets of $4.834m, the D& A cost for F21 has to be significantly higher than the $5.1m of FY20.
I am adjusting my FY21 eps from 5.9c to 4.9c

Not terrific transparent management IMO.